The following financial information is available for Last Chance Repossessions Company as of December 31, 2012:

Required
Calculate all profitability, liquidity, and solvency ratios (except earnings per share, price to earnings, and debt to equity) and comment on Last Chance's overall profitability, liquidity, and solvency. Round percentages to one decimal point (i.e., 12.8%).

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Comparative Balance Sheet 2012 15,000 10,000 30,000 25,000 2011 as Accounts receivable Inventory Prepaid insurance 75,000 ,000 10,000 130,000 125,000 500,000 400,000 100,000 85,000 400,000 315,000 15,000 Total current assets Property and equipment Accumulated depreciation Total property and equipment Total assets $530,000 $440,000 Accounts payable Other current liabilities 40,000 50,000 25,000 40,000 65,000 90,000 75,000 150,000 140,000 240,000 290,000 150,000 100,000 390,000 200,000 Total current liabilities Bonds payable Total liabilities Common stock Retained earnings 50,000 Total stockholders' equity Total liabilities and stockholders' equity 530 000 $440,000 Income Statement Sales Cost of goods sold 2012 Operating expenses Interest expense Income tax expense Gross profit Operating income Income before taxes $400,000 210,000 S190,000 55,000 S135,000 15,000 S120,000 50,000 $ 70,000 Net income